I am sharing the agreement between all Government Employees Grand Alliance(AGEEGA) and the Government of Pakistan for an Increase in Salary @ 150%, Medical Conveyance, HRA, Pension, Upgradation, and Tax reforms for employees 2025 . The AGEGA Government Agreement marks a significant step in addressing the concerns of Pakistan’s government employees. This agreement ensures financial relief through salary increases, tax reductions, and enhanced benefits, securing a better future for employees in various sectors.
Latest Increase in Salary @ 150%, Medical Conveyance, HRA, Pension, Upgradation, and Tax (Agreement AGEEGA) 2025
Thre held an agreement between the Government Employees Grand Akliwance (AGEEGA) and Government of Pakistan for various allowances and increase in salary of the employees. There is also the agreement for the reforms in pension and tax slabs.
Overview of the Agreement
Sl. No. | Demand of AGEGA | Government of Pakistan’s Commitments |
---|---|---|
1. | Employees facing depressed salaries must receive a 150% increase. | Agreed: Employees who have already received a 40% DRA (25%+15%) will get an additional 30% DRA in the FY 2025-26 budget. This increase aims to reduce salary disparities. Over the following years, salaries will gradually increase to 100%, depending on fiscal space. |
2. | a) The government must increase house rent allowance, medical, and conveyance allowances by 100%. | a) The government will consider raising house rent, medical, and conveyance allowances in the FY 2025-26 budget, depending on fiscal space. |
b) The hiring of accommodation must increase as per the recommendation of the Ministry of Housing and Works. | b) Agreed: The government will increase hiring rates based on the Ministry of Housing and Works’ recommendations. The Finance Division is already reviewing the case. | |
3. | a) The government must introduce pension reforms. | a) If AGEGA has concerns or recommendations regarding pension reforms, the Finance Division will review them. The Sub-Committee, chaired by Mr. Tariq Fazal Chaudhary (Chief Whip/MNA), can submit recommendations for further consideration. |
b) Leave encashment should be granted. | b) The matter falls under the Punjab Government’s jurisdiction. The Adviser to the PM on Political Affairs/Minister for IPC, Mr. Rana Sanaullah, will address Punjab government employees’ concerns regarding leave encashment. | |
4. | The government must reconsider the privatization of state-owned enterprises (SoEs) and schools. | The government may form a committee to review and improve the management of these entities. |
5. | The government must regularize contingent-paid, daily-wage, contract, ad-hoc, TLA employees, and invalid employees’ children in line with the Khurshid Shah Committee’s recommendations. | A committee, chaired by Mr. Ali Pervaiz Malik (Minister of State for Finance and Revenue), may be established to review policies while ensuring no compromises on federal government decisions. |
6. | Employees promoted to a higher scale under a one-time dispensation (especially class-IV) should receive the pay, allowances, and perks of their new scale. | a) A Joint Committee of the Establishment and Finance Divisions will review and finalize recommendations in the FY 2025-26 budget. b) Agreed: Employees granted a one-time promotion will receive all benefits of the next higher scale. |
7. | a) The government must review and reduce tax slabs for employees. | a) Agreed: The government will review tax slabs in the FY 2025-26 budget, in consultation with the Federal Board of Revenue (FBR). |
b) The 25% tax rebate for teachers/researchers should not be withdrawn. | b) Agreed: The government will withdraw the previously issued letter regarding the removal of the 25% tax rebate for teachers and researchers. | |
8. | The government must restore appointments under PM’s Assistance Package (17-A). | Since this issue is currently under judicial review, the Sub-Committee, led by Mr. Tariq Fazal Chaudhary (Chief Whip/MNA), will discuss the matter with the Establishment Division and the Ministry of Law and Justice for a feasible resolution. |
9. | The government must increase allowances for disabled employees in line with provincial rates. | Agreed: The government will implement this increase in the FY 2025-26 budget. |
Representatives of AGEGA and the Government of Pakistan
Representatives of AGEGA | Representatives of the Government of Pakistan |
---|---|
Chief Coordinator, All Government Employees Grand Alliance (AGEGA), Pakistan | Adviser to the PM on Political Affairs/Minister for IPC, Government of Pakistan |
President, All Government Employees Grand Alliance (AGEGA), Pakistan | Minister of State for Finance and Revenue, Government of Pakistan |
Chairman, All Government Employees Grand Alliance (AGEGA), Pakistan | Chief Whip/MNA |
DIG (Hqrs) Security, Islamabad | Deputy Commissioner, ICT Islamabad |
Good Luck for the Government Employees and Pensioners


But news was that 30 % DRA will be increase from March 2025 while remaining will be adjusted in budge 2025/26
This is absurd